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What is the tax rate for small businesses (S-corps)?

Answer #86 -- ( Published 08/04/2005 12:35 PM | Updated 07/12/2017 10:38 AM )

What is the tax rate for small businesses (S corporations)?

S Corporations pay Personal Property Tax Replacement Income Tax (replacement tax). Check the Tax Rate Database for the current rate.  They do not pay Illinois Income Tax. Generally, income from an S corporation is passed on to the shareholders. The shareholders must include this income in their federal adjusted gross income (for individuals) or taxable income (for other taxpayers). This is the starting point for Illinois Income Tax purposes and where regular income tax is paid.

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